Supermarkets
experience fastest rate of growth in mainstream dietary supplement market. Natural product sales
have soared in supermarkets, drug stores, and mass merchandisers during
the past year. Although overall sales of dietary supplements are higher
for drug and mass retailers, supermarkets have been experiencing the
most rapid growth rates. Growth in the medicinal herbs category has
been especially strong. For example, valerian and kava kava sales grew
by 254% in food stores compared to 230% in drugstores and only 157%
in mass merchandiser outlets. Other key herbal segments such as ginkgo
and gotu kola, saw palmetto, and herbs for cold & flu have also
grown much faster in supermarkets. Vitamin E sales grew 29% in supermarkets,
over twice the rate in drugstores and mass merchandiser outlets. Growth
for the newer category of polyphenols demonstrated a 56% growth rate
in supermarkets, compared to just 13% in drugstores and 38% in mass
merchandisers. While supermarkets have focused on expanding their natural
products selection, marketing programs in drugstores and mass merchandiser
outlets rely more heavily on aggressive promotions. Drug and mass retailers
have also begun adding nutritional foods such as energy bars and medicinal
teas to their product lines.Natural Business,
October, 1998.